U.S. Hotel Occupancy Declines in April, with Moderate Rate Adjustments

Average U.S. hotel revenue per available room and daily rates in April 2023 increased modestly year over year, showing signs of moderating while occupancy slipped, according to hospitality analytics firm STR.

April U.S. hotel occupancy was 64.4 percent, down 1.4 percent year over year and down 0.9 percentage points from the month prior, which also was below 2019 levels.

U.S. hotel ADR in April was $155.77, up 3.4 percent year over year, while slightly down from $158.17 in March. April U.S. hotel RevPAR increased 1.9 percent year over year to $100.39, which was down slightly from March.

Among STR’s top 25 markets, New York reported the highest occupancy level in April at 82.6 percent, up 5.3 percent from the market’s 2022 benchmark. Minneapolis and Detroit reported the lowest occupancy levels in April, both at 56.2 percent. However, Minneapolis was among the most improved with a 7 percent year-over-year increase.

For the first time since October, STR’s report did not cite business and group travel as a factor in its top 25 cities reporting higher occupancy and rates than other markets.

Angelique Platas www.businesstravelnews.com